morning thoughts..
We were expecting a correction on back of profit taking at higher levels and the said correction came and nifty took supports at exactly the support levels mentioned.
Technically no strength of weakness was seen and the downside look merely on back of profit booking.
However one must keep in mind that volatility will be high and markets will bounce from lower levels and find resistance at higher levels of 5200 levels , if that levels is taken of then another round of fresh upmove can be witnessed.
Call writers are very active from 5200 through 5400 strike prices expecting the Nifty not to be able to go much beyond the 5200-mark this month.
We need to keep a close watch over this range between 5124 and 5130 for the Nifty index very closely for it stay above this range in today’s trading would mean bulls regaining some of the lost strength yesterday. Also, to be monitored is the VIX going below the 23-mark. Once this happens short sellers should be a bit more careful. However, if the bulls fail to maintain any early morning recovery and the index, once again, slides below 5123 and also falls below even 5111 then bulls have a real problem at their hands. The index staying below even 5111 would mean bulls would press further sales. Thus, just like four central squares on a chess board, the range between 5110 and 5130 would the key deciding zone for today. This zone would determine the course of price action during the day.
As we have said in the beginning of the year that 2012 is the year of mercury which indicates volatility with sudden rise and sudden fall.
On the commodities front as per our expectation there was a correction in silver , gold , copper , which was the perfect entry point for a good bounce.
We have also posted the entry and buy call for silver , gold , crude , copper yesterday for 2 days on facebook and yahoo messenger at the same time when given to clients , one can check the calls , rates at that time and rates today and all of them have risen miraculously after that fulfiiling all the targets mentioned.
The supports for the nifty is at 5100 levels and resistance at 5200 levels.
The supports for the sensex is at 16800 levels and resistance at 17500 levels.
www.astroeyes.co.cc
Yesterday’s calls sent via sms and messenger
Gold Mcx – buy at cmp 27870 sl 27800 targets 28300 – 2 days ( also given on facebook and yahoo as free gesture at the same time when given to clients ) – holding
Silver Mcx – buy at cmp 56490 sl 56350 targets 57500 – 2 days ( also on facebook ) – holding
Crude Mcx – buy at cmp 4930 sl 4915 targets 4980 – 2 days (also on facebook) – holding
Copper Mcx – buy at cmp 418.90 sl 417 targets 425 – 2 days ( also on facebook ) – holding
Tuesday’s Natural Gas – booked full profits at 140 , long from 117
Lic – buy at cmp 245 sl 243 targets 251 , went 253.40
Essar oil – buy at cmp 60 sl 58.80 targets 64 , went 64.90
Gmdc – buy at cmp 180 sl 178 targets 190 – hit sl
Bank Nifty – buy at cmp 9525 sl 9450 targets 9800 – holding
Nifty 5200 ce – buy at cmp 67 sl 55 targets 100 – holding
Advance Nifty – buy at cmp 5109 sl x targets x – holding
Nifty – sell at cmp 5159 sl 5175 targets 4990 , went 5102
Icici 900 ca – buy at cmp 21 sl 18 targets 35 – holding
